• Routine expenditures and subsidies dominate state budget (APBN)        2
• Dilemma faced by the government in increasing fiscal space        4
• Absorption of APBN needs to be increased to wide fiscal space        4

• Backgrounds        6
• Management of electric power systems in Indonesia        7
• Electricity systems in other islands        9
• Condition of power generating plants        9
• Development of power plants        11
• Growth of electric power sector        13
• Number of subscribers        15
• Coal becomes the main fuel        17
• Program of diversification of primary energy        18
• Subsidies provided by the government        19
• Power generating plants of IPP        20
• IPP projects delayed        22
• Projection of electric power requirement, 2011-2016        24
• Conclusion        26

• Backgrounds        28
• Power generating plants        28
• Maintenance Service Business Units (UBJ Pemeliharaan)        34
• Financial performance        37

• Backgrounds        39
• Construction of power plants        40

• Generation of electricity with BBM less efficient        43
• PLN burdened by high production cost of BBM-generated electricity        44
• Profile of power generation by PLN        45
• HSD accounts for highest rentals for power plants in 2011        49
• Gas cheaper alternative source of energy to generate power        49
• PLN changes sources of energy        51
• Conclusion        51

• Backgrounds        52
• Investment Requirement Up        52
• PLN's bonds        55
• Support from national banks        56

• Pertamina Lubricants to start operation in 2012        58
• Astra Agro  to build new palm oil factories valued at Rp  516 billion        58
• Mitsui  acquires stake in Asuransi Sinarmas        58
• GE investasikan US$ 1 miliar di Indonesia        59
• Mandala set to resume operation        59
• Nissan Motor Indonesia set to produce  green cars in Indonesia        59
• Krakatau to build  steel factory at a cost of Rp  5.92  trillion        60
• Merger Novartis-Alcon strengthen domestic pharmaceutical market        60
• Pikko Group acquires Royal Oak at US$234 million        61
• Geely Automobile to make Indonesia production base        61
• Inpex to start development of Masela Block next year        62

• Indonesia to become Toray's production        63
• Regulation allowing to grow oil palm trees in industrial timber estate revoked        63
• Export tax boosts development of downstream cacao industry        63
• Exporters required placing their funds in domestic banks        64
• Indonesia no longer interested in new FTA        64
• Banks begin to show interest in investing in textile industry        65

• Directory of Electricity Companies in Indonesia        66

• Economic Indicators        68
• Export and import        69
• Gross Domestic Product        70
• Oil Price and Foreign Exchange        71
• The Indonesian Economic Trends        72